The lawyers acting for the the western NSW council which has made moves to dissolve Illawarra flight operator JetGo say the airline owes $271,000 in unpaid fees.
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In a statement on behalf of Dubbo Regional Council, Parramatta-based Matthews Folbigg Lawyers said the council had actively been communicating with JetGo for 12 months over the dispute and had proposed a repayment plan for the “ever increasing debt”.
“Jetgo has expanded its services within Australia and overseas, whilst a substantial debt to the Dubbo Regional community has continually mounted,” the lawyers said.
“The Dubbo community is not a bank for profit making organisations to take advantage of.”
If Dubbo’s action is successful, it could have wide-reaching consequences for a number of regional flight routes, including those flying in and out of the Illawarra airport.
Shellharbour mayor Marianne Saliba said she will be seeking assurances from JetGo about its ability to keep operating its Wollongong to Melbourne and Brisbane routes, and has advised residents to purchase tickets with credit cards on which they can receive a refund.
On Thursday, airline boss Paul Bredereck said he was confident of fighting the legal action, which was “unfortunate and highly unusual” as well as “ethically inappropriate”.
However Dubbo’s mayor Ben Shields hit back against these claims, saying this was “factually inaccurate”.
“Ten councillors all endorsed the course of action,” he said. “Let me be very clear when I say that this matter has the backing of all councillors, and as such the community can be assured that the issue is being dealt with appropriately.”
The winding up proceedings are listed for June 18.
Kate McIlwain
For more than a decade, I've helped the Illawarra Mercury set the news agenda across the region. Currently I'm the paper's health reporter - covering the stories of Illawarra workers and residents in the wake of a global pandemic and at a time where our health systems are stretched to the limit.
For more than a decade, I've helped the Illawarra Mercury set the news agenda across the region. Currently I'm the paper's health reporter - covering the stories of Illawarra workers and residents in the wake of a global pandemic and at a time where our health systems are stretched to the limit.
